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Employee Benefit Trust Fund

Overview

This page provides relevant information concerning the establishment of an employee benefit trust and the accounting associated with the trust.

For districts using Fund 73 OPEB trust, send new studies to eugene.fornecker@dpi.wi.gov. Districts not using Fund 73 OPEB are not required to submit the studies to DPI but do need to have them available for their auditors per the GASB requirement.

Things to Consider when Establishing an Employee Benefit Trust Fund

Trust Investments

Accounting for Trust Activity

On Exhibit E, Example #3 was added for the year end accrual of the contribution to the trust. On Exhibit A, #2 (updated June 11, 2014) the yellow boxes were separated for retiree portion remitted to the trust and retiree portion paid directly to insurance vendor by retiree (self-pay). The self-pay amount is included on the Sample of Activity only for the calculation of the actual implicit rate subsidy.

Note to School Districts/Others with Fund 73

Many decisions are required during the establishment of an employee benefit trust fund (fund 73). These decisions are the sole responsibility of the school district. DPI does not make a determination regarding legality or risks associated with the trust including investments and debt. DPI does provide guidance on how to account for the activity for filing DPI required reports and determination of district aid eligibility.

For questions about this information, contact dpifin@dpi.wi.gov (608) 267-9114